13. Consolidating Condensed Financial Information

Certain of our wholly owned subsidiaries have fully and unconditionally guaranteed on a joint and several basis, the payment of all obligations under our 7.75% Senior Notes and 8.875% Senior Subordinated Notes.

The following wholly owned subsidiaries of the Company are guarantors, on a joint and several basis, under the 7.75% Senior Notes and 8.875% Senior Subordinated Notes: Black Hawk Holdings, L.L.C.; CCSC/Blackhawk, Inc.; IC Holdings Colorado, Inc.; IOC-Black Hawk Distribution Company, L.L.C.; IOC-Boonville, Inc.; IOC-Caruthersville, L.L.C.; IOC-Kansas City, Inc.; IOC-Lula, Inc.; IOC-Natchez, Inc.; IOC Black Hawk County, Inc.; IOC Davenport, Inc.; IOC Holdings, L.L.C.; IOC Services, LLC.; IOC-Vicksburg, Inc.; IOC-Vicksburg, LLC; Rainbow Casino Vicksburg Partnership, L.P.; IOC Cape Girardeau, LLC; Isle of Capri Bettendorf Marina Corporation; Isle of Capri Bettendorf, L.C; Isle of Capri Black Hawk Capital Corp.; Isle of Capri Black Hawk, L.L.C.; Isle of Capri Marquette, Inc.; P.P.I, Inc.; Riverboat Corporation of Mississippi; Riverboat Services, Inc.; and St. Charles Gaming Company, Inc.

Consolidating condensed balance sheets as of January 27, 2013 and April 29, 2012 are as follows (in thousands):

	As of January 27, 2013
	Isle of Capri								Consolidating
	Casinos, Inc.					Non-			and			Isle of Capri
	(Parent		Guarantor			Guarantor			Eliminating			Casinos, Inc.
	Obligor)		Subsidiaries			Subsidiaries			Entries			Consolidated
Balance Sheet
Current assets	$	27,448	$	81,353		$	28,015		$	(2,281	)	$	134,535
Intercompany receivables	631,769		(188,175		)	(41,061		)	(402,533		)	—
Investments in subsidiaries	680,629		(29,794		)	—			(650,835		)	—
Property and equipment, net	8,569		987,934			20,293			—			1,016,796
Other assets	40,852		373,134			26,149			(10,344		)	429,791
Total assets	$	1,389,267	$	1,224,452		$	33,396		$	(1,065,993	)	$	1,581,122

Current liabilities	$	49,918	$	80,097		$	33,780		$	(2,281	)	$	161,514
Intercompany payables	—		402,533			—			(402,533		)	—
Long-term debt, less current maturities	1,147,247		210			360			—			1,147,817
Other accrued liabilities	6,130		74,785			15,248			(10,344		)	85,819
Stockholders’ equity (deficit)	185,972		666,827			(15,992		)	(650,835		)	185,972
Total liabilities and stockholders’ equity	$	1,389,267	$	1,224,452		$	33,396		$	(1,065,993	)	$	1,581,122

	As of April 29, 2012
	Isle of Capri									Consolidating
	Casinos, Inc.						Non-			and			Isle of Capri
	(Parent			Guarantor			Guarantor			Eliminating			Casinos, Inc.
	Obligor)			Subsidiaries			Subsidiaries			Entries			Consolidated
Balance Sheet
Current assets	$	52,532		$	120,711		$	29,324		$	(284	)	$	202,283
Intercompany receivables	673,849			(176,882		)	(50,942		)	(446,025		)	—
Investments in subsidiaries	644,424			(29,795		)	—			(614,629		)	—
Property and equipment, net	9,194			908,586			32,234			—			950,014
Other assets	(5,524		)	384,469			17,209			26,519			422,673
Total assets	$	1,374,475		$	1,207,089		$	27,825		$	(1,034,419	)	$	1,574,970

Current liabilities	$	37,509		$	89,213		$	29,690		$	(296	)	$	156,116
Intercompany payables	—			446,025			—			(446,025		)	—
Long-term debt, less current maturities	1,145,301			3,264			473			—			1,149,038
Other accrued liabilities	8,045			37,175			14,445			26,531			86,196
Stockholders’ equity (deficit)	183,620			631,412			(16,783		)	(614,629		)	183,620
Total liabilities and stockholders’ equity	$	1,374,475		$	1,207,089		$	27,825		$	(1,034,419	)	$	1,574,970

Consolidating condensed statements of operations for the three and nine months ended January 27, 2013 and January 22, 2012 are as follows (in thousands):

	For the Three Months Ended January 27, 2013
	Isle of Capri									Consolidating
	Casinos, Inc.						Non-			and			Isle of Capri
	(Parent			Guarantor			Guarantor			Eliminating			Casinos, Inc.
Statement of Operations	Obligor)			Subsidiaries			Subsidiaries			Entries			Consolidated
Revenues:
Casino	$	—		$	248,404		$	—		$	—		$	248,404
Rooms, food, beverage, pari-mutuel and other	205			39,368			2,179			(2,173		)	39,579
Gross revenues	205			287,772			2,179			(2,173		)	287,983
Less promotional allowances	—			(49,888		)	—			—			(49,888		)
Net revenues	205			237,884			2,179			(2,173		)	238,095

Operating expenses:
Casino	—			39,166			—			—			39,166
Gaming taxes	—			63,289			—			—			63,289
Rooms, food, beverage, pari-mutuel and other	7,491			88,092			2,457			(2,173		)	95,867
Management fee expense (revenue)	(8,302		)	8,302			—			—			—
Depreciation and amortization	517			18,835			38			—			19,390
Total operating expenses	(294		)	217,684			2,495			(2,173		)	217,712

Operating income (loss)	499			20,200			(316		)	—			20,383
Interest expense, net	(12,622		)	(9,035		)	(252		)	—			(21,909		)
Derivative income	222			—			—			—			222
Equity in income (loss) of subsidiaries	8,464			—			—			(8,464		)	—
Income (loss) from continuing operations before income taxes	(3,437		)	11,165			(568		)	(8,464		)	(1,304		)
Income tax (provision) benefit	2,435			(2,355		)	222			—			302
Income (loss) from continuining operations	(1,002		)	8,810			(346		)	(8,464		)	(1,002		)
Income (loss) of discontinued operations	(1,184		)	(1,184		)	—			1,184			(1,184		)
Net income (loss)	$	(2,186	)	$	7,626		$	(346	)	$	(7,280	)	$	(2,186	)

	For the Three Months Ended January 22, 2012
	Isle of Capri									Consolidating
	Casinos, Inc.						Non-			and			Isle of Capri
	(Parent			Guarantor			Guarantor			Eliminating			Casinos, Inc.
Statement of Operations	Obligor)			Subsidiaries			Subsidiaries			Entries			Consolidated
Revenues:
Casino	$	—		$	236,649		$	—		$	—		$	236,649
Rooms, food, beverage, pari-mutuel and other	479			38,236			2,254			(2,246		)	38,723
Gross revenues	479			274,885			2,254			(2,246		)	275,372
Less promotional allowances	—			(48,051		)	—			—			(48,051		)
Net revenues	479			226,834			2,254			(2,246		)	227,321

Operating expenses:
Casino	—			37,700			—			—			37,700
Gaming taxes	—			59,603			—			—			59,603
Rooms, food, beverage, pari-mutuel and other	8,744			82,076			1,327			(2,246		)	89,901
Management fee expense (revenue)	(7,910		)	7,910			—			—			—
Depreciation and amortization	489			18,677			138			—			19,304
Total operating expenses	1,323			205,966			1,465			(2,246		)	206,508

Operating income (loss)	(844		)	20,868			789			—			20,813
Interest expense, net	(6,022		)	(15,365		)	(165		)	—			(21,552		)
Derivative income	223			—			—			—			223
Equity in income (loss) of subsidiaries	4,692			—			—			(4,692		)	—
Income (loss) from continuing operations before income taxes	(1,951		)	5,503			624			(4,692		)	(516		)
Income tax (provision) benefit	1,635			(1,211		)	(224		)	—			200
Income (loss) from continuining operations	(316		)	4,292			400			(4,692		)	(316		)
Income (loss) of discontinued operations	(866		)	(1,306		)	—			1,306			(866		)
Net income (loss)	$	(1,182	)	$	2,986		$	400		$	(3,386	)	$	(1,182	)

	For the Nine Months Ended January 27, 2013
	Isle of Capri									Consolidating
	Casinos, Inc.						Non-			and			Isle of Capri
	(Parent			Guarantor			Guarantor			Eliminating			Casinos, Inc.
Statement of Operations	Obligor)			Subsidiaries			Subsidiaries			Entries			Consolidated
Revenues:
Casino	$	—		$	733,321		$	—		$	—		$	733,321
Rooms, food, beverage, pari-mutuel and other	546			119,217			6,890			(6,873		)	119,780
Gross revenues	546			852,538			6,890			(6,873		)	853,101
Less promotional allowances	—			(155,976		)	—			—			(155,976		)
Net revenues	546			696,562			6,890			(6,873		)	697,125

Operating expenses:
Casino	—			114,464			—			—			114,464
Gaming taxes	—			183,536			—			—			183,536
Rooms, food, beverage, pari-mutuel and other	29,220			256,321			4,673			(6,873		)	283,341
Management fee expense (revenue)	(24,410		)	24,410			—			—			—
Depreciation and amortization	1,522			51,259			281			—			53,062
Total operating expenses	6,332			629,990			4,954			(6,873		)	634,403

Operating income (loss)	(5,786		)	66,572			1,936			—			62,722
Interest expense, net	(36,820		)	(26,495		)	(704		)	—			(64,019		)
Derivative income	532			—			—			—			532
Equity in income (loss) of subsidiaries	27,529			—			—			(27,529		)	—
Income (loss) from continuing operations before income taxes	(14,545		)	40,077			1,232			(27,529		)	(765		)
Income tax (provision) benefit	13,946			(13,338		)	(442		)	—			166
Income (loss) from continuining operations	(599		)	26,739			790			(27,529		)	(599		)
Income (loss) of discontinued operations	(1,579		)	(2,502		)	—			2,502			(1,579		)
Net income (loss)	$	(2,178	)	$	24,237		$	790		$	(25,027	)	$	(2,178	)

	For the Nine Months Ended January 22, 2012
	Isle of Capri									Consolidating
	Casinos, Inc.						Non-			and			Isle of Capri
	(Parent			Guarantor			Guarantor			Eliminating			Casinos, Inc.
Statement of Operations	Obligor)			Subsidiaries			Subsidiaries			Entries			Consolidated
Revenues:
Casino	$	—		$	711,583		$	—		$	—		$	711,583
Rooms, food, beverage, pari-mutuel and other	769			114,957			7,245			(6,896		)	116,075
Gross revenues	769			826,540			7,245			(6,896		)	827,658
Less promotional allowances	—			(141,307		)	—			—			(141,307		)
Net revenues	769			685,233			7,245			(6,896		)	686,351

Operating expenses:
Casino	—			111,843			—			—			111,843
Gaming taxes	—			178,555			—			—			178,555
Rooms, food, beverage, pari-mutuel and other	30,580			250,130			5,734			(6,896		)	279,548
Management fee expense (revenue)	(24,075		)	24,075			—			—			—
Depreciation and amortization	1,491			56,221			414			—			58,126
Total operating expenses	7,996			620,824			6,148			(6,896		)	628,072

Operating income (loss)	(7,227		)	64,409			1,097			—			58,279
Interest expense, net	(18,850		)	(45,517		)	(452		)	—			(64,819		)
Derivative income	252			—			—			—			252
Equity in income (loss) of subsidiaries	11,179			—			—			(11,179		)	—
Income (loss) from continuing operations before income taxes	(14,646		)	18,892			645			(11,179		)	(6,288		)
Income tax (provision) benefit	10,741			(6,092		)	(2,266		)	—			2,383
Income (loss) from continuining operations	(3,905		)	12,800			(1,621		)	(11,179		)	(3,905		)
Income (loss) of discontinued operations	(1,057		)	(2,663		)	—			2,663			(1,057		)
Net income (loss)	$	(4,962	)	$	10,137		$	(1,621	)	$	(8,516	)	$	(4,962	)

Consolidating condensed statements of cash flows for the nine months ended January 27, 2013 and January 22, 2012 are as follows (in thousands):

	Nine Months Ended January 27, 2013
	Isle of Capri									Consolidating
	Casinos, Inc.						Non-			and			Isle of Capri
	(Parent			Guarantor			Guarantor			Eliminating			Casinos, Inc.
Statement of Cash Flows	Obligor)			Subsidiaries			Subsidiaries			Entries			Consolidated
Net cash provided by (used in) operating activities	$	(46,926	)	$	126,002		$	436		$	—		$	79,512
Net cash provided by (used in) investing activities	27,945			(85,467		)	(9,672		)	(28,736		)	(95,930		)
Net cash provided by (used in) financing activities	(9,872		)	(37,803		)	8,726			28,736			(10,213		)
Net increase (decrease) in cash and cash equivalents	(28,853		)	2,732			(510		)	—			(26,631		)
Cash and cash equivalents at beginning of the period	39,365			50,749			4,347			—			94,461
Cash and cash equivalents at end of the period	$	10,512		$	53,481		$	3,837		$	—		$	67,830

	Nine Months Ended January 22, 2012
	Isle of Capri									Consolidating
	Casinos, Inc.						Non-			and			Isle of Capri
	(Parent			Guarantor			Guarantor			Eliminating			Casinos, Inc.
Statement of Cash Flows	Obligor)			Subsidiaries			Subsidiaries			Entries			Consolidated
Net cash provided by (used in) operating activities	$	3,240		$	65,531		$	1,737		$	—		$	70,508
Net cash provided by (used in) investing activities	28,588			(43,876		)	(969		)	(29,545		)	(45,802		)
Net cash provided by (used in) financing activities	(27,131		)	(22,628		)	(7,244		)	29,545			(27,458		)
Net increase (decrease) in cash and cash equivalents	4,697			(973		)	(6,476		)	—			(2,752		)
Cash and cash equivalents at beginning of the period	3,952			62,105			9,121			—			75,178
Cash and cash equivalents at end of the period	$	8,649		$	61,132		$	2,645		$	—		$	72,426